Liability of origin and co-evolutionary business network strategies in selective deglobalization/decoupling, academy of international business

This research paper aims to analyze the effect of recent deglobalization trends on international business networks, with reference to liability of origin (LOR) as a particular aspect of firm internationalization. The issue of origin is seen not in relation to a specific type of country, such as emerging countries, but as an effect of the geopolitical conflict in deglobalization. The topicality of this theme is due to the increasing pressures from deglobalization and the US-PRC decoupling. Methodologically, the paper proposes a literature review and case study on co-evolution in the semiconductor industry. Selective deglobalization brings attention to the issue of boundaries and structures of a firm’s international business networks, and in this context proposes a type of liability for corporate actors that are connected to the country of origin, but in new terms related to selective
deglobalization, which we trace to the concept of liability of origin. The elaboration of the results leads to the formulation of some propositions as the main contribution of the paper also in terms of future research agenda.